SBI cuts MCLR, home & car loans to be cheaper

The State Bank of India (SBI) here on Wednesday reduced the marginal cost of funds-based lending rate (MCLR) by 10-15 basis points across tenors.

Mumbai, March 11 The State Bank of India (SBI) here on Wednesday reduced the marginal cost of funds-based lending rate (MCLR) by 10-15 basis points across tenors.

"The one-year MCLR comes down to 7.75 per cent from 7.85 per cent with effect from March 10, 2020. It's the tenth consecutive cut in MCLR in FY20," the country's largest lender said in a statement.

With this, the equated monthly instalments (EMIs) on home loans linked to MCLR will get cheaper by around Rs 7 per Rs 100,000 on a 30-year loan. EMIs on car loans will come down by Rs 5 per Rs 100,000 on a 7-year loan.

In view of adequate liquidity in the system, the SBI has realigned the interest rates on term deposits as of March 10, 2020.

The retail term deposit rates have been reduced by 10 bps for one year and above tenor, and 50 bps for up to 45 days. The bulk term deposit rates have been reduced by 15 bps for 180 days and above tenors.

( With inputs from IANS )